DISCLOSURE INSIGHT ACTION

CDP Ireland climate change report 2017 Irish Companies respond to increasing Customer and Investor focus on Climate Change

Written on behalf of 803 investors with US$100 trillion in assets

Programme Sponsors Report & Event Sponsors Ireland partner to CDP and report writer Contents

03 Foreword by Paul Simpson, CEO, CDP

04 Foreword by Emma Jane Joyce, CDP Ireland Network

06 Stories of Change: Kingspan

07 Commentary from SEAI by Jim Gannon

08 Commentary from EPA by Laura Burke

09 Stories of Change:

10 Irish Emissions Reporting 2017

12 CDP Ireland Network Initiative

14 CDP Ireland 2017 Infographic

16 Investor Perspectives

18 Reimagining Disclosure

19 Investor signatories and members

20 Appendix I: Ireland Responding Companies

22 Appendix II: Global responding companies with operations in Ireland

27 CDP 2017 Climate Change Scoring Partners

Important Notice

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CDP have prepared the data and analysis in this report based on responses to the CDP 2017 information request. No representation or warranty (express or implied) is given by CDP as to the accuracy or completeness of the information and opinions contained in this report. You should not act upon the information contained in this publication without obtaining specific professional advice. To the extent permitted by law, CDP do not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this report or for any decision based on it. All information and views expressed herein by CDP is based on their judgment at the time of this report and are subject to change without notice due to economic, political, industry and firm-specific factors. Guest commentaries where included in this report reflect the views of their respective authors; their inclusion is not an endorsement of them.

CDP, their affiliated member firms or companies, or their respective shareholders, members, partners, principals, directors, officers and/or employees, may have a position in the securities of the companies discussed herein. The securities of the companies mentioned in this document may not be eligible for sale in some states or countries, nor suitable for all types of investors; their value and the income they produce may fluctuate and/or be adversely affected by exchange rates.

‘CDP Worldwide’ and ‘CDP’ refer to CDP Worldwide, a registered charity number 1122330 and a company limited by guarantee, registered in England number 05013650.

© 2017 CDP Worldwide. All rights reserved.* CEO foreword

A changing climate is becoming more evident. This climate change, water and deforestation through our year has brought intense Atlantic hurricanes, severe reporting platform. This request from CDP was made wild fires in California, an exceptional monsoon on behalf of more than 800 investors with assets of across South Asia, a stifling heatwave across Europe, US$100 trillion. and record-low wintertime sea ice in the Arctic. These changes threaten ecosystems, communities To meet the growing needs of these investors, we and our economic well-being, with significant assets are evolving our disclosure platform to introduce at risk from climate change. sector-based reporting and align our information request with the recommendations of the Task This evidence is not going unnoticed. Public concern Force for 2018. This will help to further illuminate to is growing; and policy makers and regulators are company boards and their shareholders the risks and responding. The Chinese government, for example, opportunities presented by the low-carbon transition, is set to launch a national carbon emissions trading so they can act swiftly to shift their business models scheme by the end of this year. Companies around accordingly. the world, from all sectors, have begun transitioning their business models away from a dependence on The environmental disclosures that leading The transition to a fossil fuels and towards the low-carbon economy of companies are making through CDP are providing low-carbon economy the future. data across capital markets to inform better will create winners decisions and drive action. Companies are reporting and losers within In this year’s CDP analysis, which is based on the how science-based carbon emission reduction and across sectors. climate data disclosed to us by over 1,000 of the targets can drive business and sustainability As new businesses world’s largest, highest-emitting companies, we improvements. They are showing how renewable and technologies reveal that a growing number are setting longer-term energy purchases are helping companies to cut emerge and scale up, emissions reduction targets, planning for low-carbon emissions and how setting an internal carbon price billions of dollars of into their business models out to 2030 and beyond. can drive efficiency and shift investment decisions. value are waiting to The number of companies in our sample that have They are revealing how their products and services be unlocked, even as committed to set emissions reduction targets in line directly enable third parties to avoid greenhouse gas many more are at risk. with or well below a 2 degrees Celsius pathway, via emissions. They are collaborating with cities, states, the Science Based Targets initiative, has increased regions and other companies to drive positive impact from 94 to 151 in the space of a year. Continuing in their own operations and through value chains. this momentum, an additional 317 companies plan to commit to a science-based target within two This report tracks the progress of corporate action years. EDP and Unilever are two of those companies on climate change. Last year, in the wake of the Paris sharing their story of how and why they decided Agreement, we established a baseline for corporate to set a science-based target in our analysis. climate action. This year, we measure progress to Aligned to these targets, the significant increase in date. As we show, there are some encouraging companies from our sample that are setting targets trends emerging, with more companies setting to consume renewable energy including through the further reaching carbon emissions reduction targets, RE100 initiative, or produce their own, shows how and greater accountability for climate change issues companies are embracing the cheaper, more secure within the boardroom. But, there is no doubt that supply of clean energy to meet their low-carbon more companies need to act quickly and the pace goals. of change needs to accelerate if we are to meet the goals of the Paris Agreement and ensure long term Regulators have begun to respond to the risks, financial and climate stability. notably with the Task Force on Climate-related Financial Disclosures. Established by the Financial Disclosure of quality data is crucial to support Stability Board, the Task Force has moved the this progress. It leads to smarter decisions and climate disclosure agenda forward by emphasizing informs companies and governments of the actions the link between climate risk and financial stability. they need to take. It’s encouraging to see more The Task Force has recommended that both companies setting longer-term targets; data will be companies and investors disclose climate change key to seeing how they are performing against these information, including conducting scenario analysis over time. in line with a 2 degrees Celsius pathway and setting out the impacts on their strategy of those scenarios. Make no mistake: we are at a tipping point in This amplifies the longstanding call from CDP’s the low-carbon transition. There are enormous investor signatories for companies to disclose opportunities to be had for the companies that are comprehensive, comparable environmental data positioning themselves at the leading edge of this in their mainstream reports, driving climate risk tipping point; and enormous risks for those that management further into the boardroom. haven’t yet taken action.

This year, more than 6,300 companies, accounting Paul Simpson for around 55% of the total value of global listed CEO, CDP equity markets, have disclosed information on 3 Emma Jane Joyce Chairperson of CDP Ireland Network

2017 has been another mixed year in terms of global and local performance on climate change but the trend is clear – and corporates and investors alike are seeking to better position their businesses and portfolios for our low carbon future.

As Paul Simpson, CEO of CDP, points out in this Irish companies, Kingspan and AIB, who have made report, the low-carbon transition is happening - we the list of only 114 companies globally. are at a tipping point and companies around the I am also happy to report that in 2017 there have world realise that climate action represents a huge been three new first time responders, An Post, opportunity not to be missed. and , putting the number The 2017 proxy voting season saw unprecedented of Irish companies reporting to the Climate Change support for a number of climate related shareholder program this year at 30, while the total number Irish companies will resolutions at several of the big US energy of local and multinational companies reporting need to be ready to companies. These proposals typically asked the emissions in Ireland now stands at 220 companies. respond to these companies to disclose a detailed assessment of The number of Irish entities responding to the changing requirements climate related risks and policies. These Investor-led CDP Supply Chain Program is 32 for 2017 as the and the CDP Ireland initiatives demonstrate both the ability to positively issue of climate risk in their supply chains remains Network will continue influence an investee company as a shareholder increasingly important to large companies, in turn to assist companies through active ownership and engagement, and making it an important issue for Irish companies. to prepare for these also the requirement that investors have for full changes. disclosure of the risks within their portfolio. Investors Measurement and transparency are where need climate data. meaningful climate action starts and that said, CDP is committed to continuous improvement of In June, President Donald Trump declared that the its reporting systems. 2018 will see a new online U.S. was pulling out of the Paris climate accord. reporting system launched, sectoral specific Conversely the Paris Agreement now two years questionnaires across energy, transport, materials old, and formally ratified by over 100 countries, is in and agriculture and incorporation of the TCFD fact picking up pace, as investors and corporates recommendations. respond to the clear direction of travel. Irish companies will need to be ready to respond Four weeks after President Trump’s to these changing requirements and the CDP announcement, the Task Force for Climate- Ireland Network will continue to assist companies to related Financial Disclosure (TCFD) released its prepare for these changes. final recommendations report. Launched by Mark Carney, Governor of the Bank of England and I am delighted to have served as Chairperson of the Chairman of the G20’s Financial Stability Board CDP Ireland Network over the past year. I would (FSB) and led by Michael Bloomberg, the TCFD was like to acknowledge and express my appreciation asked to develop voluntary, consistent climate- to the EPA and SEAI for their continued support related financial disclosures that would be useful of the CDP program in Ireland. I would also like to investors, lenders, and insurance underwriters to recognise the work done by Clearstream in understanding material risks. The task force Solutions who act as secretariat to the CDP project recommendations are applicable to organisations in Ireland and also the strong cooperation with across different sectors and jurisdictions, and Sustainable Nation and other organisations to keep concluded that the market needs climate-related Environmental, Social and Governance (ESG) issues information in four key areas: (1) governance, (2) front and centre. strategy, (3) risk management, and (4) metrics Finally, I would like to thank my fellow CDP Ireland and targets. The voluntary guidelines encourage Network steering committee members for their time consistent, comparable and clear financial risk and effort over the year. disclosures covering all industry sectors, including financial services, and calls for both corporates and investors to report. Emma Jane Joyce Over the past few years the numbers reporting to Chairperson of CDP Ireland Network CDP globally have remained relatively flat. However, in Ireland we have seen two years of increased numbers responding. Analysis shows corporates raising the bar on climate action, and taking the top spot on CDP's environmental A List. There are two

4 5 Best Practice Actions Stories of Change: Kingspan

Climate Change Score: A At Kingspan, our vision is to be a global leader in sustainable business, and establish RE100 Member a leading position in providing sustainable, renewable and affordable solutions for the construction sector. For well over a decade we have been aware of the implications of Net Zero Energy Initiative climate change and the importance of reducing emissions. We recognized the substantial business opportunity it presented but also the significant challenges posed by the regulatory requirement for all new buildings to be nearly net zero energy by 2020.When this goal Tips for success was outlined by the EU in 2010 it was clear signal that we needed to take action to fully understand the energy footprint across our estate and address the carbon emissions from Define Goal: Net Zero Energy by 2020 our facilities. with an interim target of 50% by 2016. In 2011 we made an ambitious commitment to make Kingspan a net zero energy company Define Scope: Net Zero Energy (NZE), by 2020 with a challenging interim target of achieving 50% renewable energy by 2016. The as defined for our purposes, is that our sites, over a year, are energy neutral five-year journey to date has been a great learning experience for us. Since setting our on an aggregated basis across the targets we have increased our renewable energy usage more than eight-fold, reduced our Kingspan estate. overall lighting and heat costs by over 30%, increased on-site generation to supply 7.6% of Team & Process: Our global NZE our total energy usage, and achieved almost a four-fold decrease in our carbon intensity. team is responsible for delivering We are delighted we have exceeded our 2016 target, entering 2017 with a 57% renewable our ambitious 2020 goal, working energy level. Our progress in moving towards our 2020 goal has helped to protect us from together across Kingspan sites in 60 the anticipated rise in energy costs over the next decade and support the achievement of countries to develop processes to capture monthly data at every site and the Sustainable Development Goals. It has enabled us to demonstrate the business case for implement new initiatives. investment in energy efficiency and renewable electricity generation to stakeholders across the building sector. It also helps to demonstrate the value proposition for our own products Develop Strategy: From the data we were able to identify areas for & solutions and highlights the benefits of upgrading existing facilities. Without more action improvements which led to the from the corporate sector, greenhouse gas emissions will continue to rise and the impact of development of our global warming will become a bigger threat for future generations. three-step strategy ‘Save More –

Generate More – Buy More’. Gene Murtagh Flexibility: The five-year journey has CEO Kingspan been a great learning experience for us. Continuous business growth and acquisitions mean that our strategy must be flexible. The renewable energy landscape is evolving rapidly and we look forward to the development of innovative options that will help us to achieve our goal.

Without more action from the corporate sector, greenhouse gas emissions will continue to rise and the impact of global warming will become a bigger threat for future generations.

6 Commentary from SEAI Jim Gannon

In line with precedent over recent years, 2017 witnessed many exceptional weather events including the truly devastating effects of Hurricanes Harvey and Irma in the Americas. Ireland too felt the impact of the exceptional Hurricane Ophelia.

It’s now November and policy makers and In an era of rapid political and economic change, stakeholders are assembling in Bonn for the COP23, victory will go to those who are agile, adapt to aiming for further, faster ambition together. At home, disruptive threats and capture new opportunities. the Citizens Assembly voted overwhelmingly in favour Our innovative spirit in Ireland is our strength, and of 13 significant recommendations for climate action. increasingly it is identifying the opportunities that both This has given clear expression to their desire to strengthen business and decarbonise our economy. put climate change at the centre of policy making in But we are losing ground, and must redouble our Now we have a slew Ireland as a matter of urgency. efforts so that we are in the leading cohort of nations of major multinational addressing climate change, as opposed to being in organisations vocally For businesses across the globe, sustainability is the following pack. We commend the work of the addressing climate a major strategic driver. It is no longer a nice to participating organisations, and reaffirm our mission change and, critically, have but a must have. Sure, motives may vary. to continue collaborating with you to reach your changing their own Some can differentiate their product or service in business and carbon goals. practices as well as the marketplace attracting customers willing to pay those of their supply a premium for a more sustainable product. Others After all, it is nothing more than our citizens, chain. They also may be trying to attract ethical investors who can customers and society as a whole expect from us. have a direct and often remain more loyal to an organisation, bringing meaningful impact on interest and value that is more personal to their Jim Gannon the behaviour of their investment. Finally, there are those who just see Chief Executive customers. a smart business decision in front of them, where Sustainable Energy Authority of Ireland an investment in more sustainable practices goes directly to the bottom line, providing a better ROI than other initiatives.

Year on year, we see the business and finance world redoubling their efforts to address our climate challenges. Increasingly, this is happening not as a result of regulatory and policy frameworks, but entirely independent of them. This level of leadership is now reaching a tipping point. Previously this was the preserve of a number of niche ‘green’ companies. Now we have a slew of major multinational organisations vocally addressing climate change and, critically, changing their own practices as well as those of their supply chain. They also have a direct and meaningful impact on the behaviour of their customers. After all, if a company can convince you that their new mobile phone is worth over €1,000, then it is highly likely that they can convince you that you can address climate change each and every day through your choices and actions.

7 Commentary from EPA Laura Burke

Climate change is now with us, and the sooner we act, the less damage will be done to our society, economy and environment. It is the defining environmental issue of our times.

To protect our environment, safeguard our remains too low for the trading system to have the wellbeing, secure our economy, and achieve our desired impact on emissions in Ireland. It is clear international commitments, we need to adopt a that Ireland’s economic systems need to undergo a much greater sense of urgency about reducing major transformation in the coming decades as part our dependence on fossil fuels for energy, heating of actions to address and limit climate change. and transport, radically improving energy efficiency and preparing for the inevitable consequences of Companies, institutions and citizens all need to climate change. In addition, the most significant air take a responsibility in the transitions required. pollutants in Ireland arise from traffic emissions and State Bodies involved in environmental protection the burning of smoky fuels for home heating. So, have a key role to play in supporting the adoption a move away from fossil fuels brings clear benefits of low-carbon sustainable practices through from both climate and public health perspectives. fiscal measures, regulatory interventions and education. However, to make substantial progress Ireland has a national policy position that commits on the sustainability challenges ahead we need us to reducing our carbon emissions by at least widespread, and willing, engagement and 80 per cent compared to 1990 levels by 2050 participation at business, individual and community across the electricity generation, built environment levels. and transport sectors while achieving carbon neutrality in the agriculture and land use sectors. The CDP provides a transparent, robust process for Environmental Protection Agency figures show gathering data and reporting on the performance that Ireland’s greenhouse gas emissions have of members’ companies, and also for building an increased as Ireland has come out of economic increased awareness along supply chains and recession, with the link between economic growth across sectors of the importance of sustainable and increased emissions yet to be broken. Our business practices. The EPA is pleased to continue figures indicate that Ireland is unlikely to meet its support for the work of the CDP Ireland Network its 2020 EU greenhouse gas emission reduction and I look forward to it continued success. targets and cast doubts over efforts to transition to a low carbon economy in the long term. In Laura Burke addition, Greenhouse Gas emissions from the 100 Director General, major industrial and institutional sites in Ireland that Environmental Protection Agency participate in the Emissions Trading Scheme have been increasing each year since 2013. In 2016 these reached the highest level in eight years - a disappointing indicator that the price of carbon

To make substantial progress on the sustainability challenges ahead we need widespread, and willing, engagement and participation at business, individual and community levels.

8 Best Practice Actions Stories of Change: Smurfit Kappa

Reporting transparency rated as Smurfit Kappa’s vision is to embed sustainability in every fibre of our products and our level A in all CDP disclosures company. As one of the leading providers of paper-based packaging solutions in the world, Included in FTSE4Good, we believe being more sustainable creates value for our customers and shareholders as well Vigeo 120, STOXX© Global ESG as making us more efficient and innovative. Leaders and Ethibel investor registers With our broad reach across 34 countries, 370 production sites and 45,000 employees in Europe and the Americas, we have an impact throughout the packaged goods value chain. First in the paper-based packaging We aim to drive positive change: from sustainable sourcing of our key raw materials to industry to have 90% of products minimising our operational impact, mitigating risk and lowering the environmental footprint of sold as Chain of Custody Certified globally in 2016 our customers and consumers. Invested over €60m in water Business-as-usual is not an option for us. We contribute to transformation in our sector treatment through new ways of thinking and innovative business models for paper-based packaging. For us, the circular economy is a natural way to go—and already 75% of our raw material Reached essentially fossil CO2 fibre is recovered. But we can, and will, go further. neutrality at our largest paper mill (Piteå Sweden) in 2014 The natural world is our primary resource so looking after it makes good business sense. That’s why we have FSC certification or Chain of Custody certification for almost every box we supply. Earlier this year we were proud to achieve full chain of custody certification for Tips for success our entire raw material supply chain.

Be open & transparent: Smurfit Kappa’s We care for our water resources – and just recently announced that we have reached our full annual Sustainable Development target of reducing the chemical oxygen demand in our waste water three years early. We Report has been assured by KPMG actively look to minimise harm to our environment and are working to further reduce waste. since 2010. We help our customers with their sustainability plans. We can track the carbon footprint Focus on material issues: We have of every box and redesign them to avoid product waste, minimise packaging and increase identified five strategic sustainability recycling so that our customers can reduce their own emissions. We have a range of Smart areas – forest, climate change, water, solutions – SupplySmart, eSmart and ShelfSmart – for businesses. This is exactly the kind of waste and people. sustainable value creation that drives our vision. Set challenging but realistic and measurable targets: We report yearly and transparently on progress. Align your strategy with the UN 2030 Sustainable Development Goals: The SDGs provide strategic direction for business globally, opening up plenty of opportunities for almost any business. Prepare for a circular society: Shifting from linear to circular flows will be key to tackling sustainability challenges. Circularity has been core to Smurfit Kappa’s business since our foundation over 80 years ago, and by focusing on our targets we will reach a fully circular business model.

Smurfit Kappa’s vision is to embed sustainability in every fibre of our products and our company.

9

201510 Chain of Custody FIngerprint Advert_241x296 mm.indd 1 18-11-15 09:22 Irish Emissions Reporting 2017

Kingspan Group Plc* Allied Irish Bank Plc* Top 10 Accenture Ingersoll-Rand Co Ltd Irish Companies Shire by score Seagate Technology LLC Experian Group Plc C&C Group Plc XL Group

* Listed on the CDP 2017 A list

The analysis presented in this report is a brief summary of a subset of the data available through CDP. We encourage all readers of this report to view the full corporate responses individually from our website. Enhanced and unlimited access to the data is available through the CDP analytics tool which makes benchmarking and trend analysis simple via a series of interactive dashboards and export functions. Different versions of the tool are available for investors and companies. Visit www.cdp.net to find out more.

The 30 Irish companies reporting to CDP climate reporting in Ireland has shown a trend of Irish change 2017 represents an increase of 20% on companies improving the performance of their 2016. There are a total of 220 companies and disclosure scores and this is supported in the 2017 organisations reporting to CDP in 2017 that are results. 99% of the scored companies achieved a either headquartered or operating in Ireland, this Disclosure score or above. 35% of the companies represents a 8% increase on 2016. This positive achieving a Awareness score or higher and 19% trend is reinforced by companies disclosing more achieving a Management level or above. Ireland information about their operations and increasing is continuing to build its reputation as a country their emissions reduction activities. Performance with strong CDP performing companies across scores in 2017 were reflective of CDP’s increase the reporting programmes. Smurfit Kappa was in the scoring threshold. Ireland maintained two the only Irish reporting company to participate Climate A List companies , Kingspan Group Plc in the CDP Climate Change, Water and Forest and Allied Irish Bank Plc. Accenture, Ingersoll- programmes. Rand Co Ltd, Shire and Seagate Technology LLC achieved and A-. The last 7 years of CDP

Over 16 Million tonnes The top 10 Scope 1 The top 20 Scope 1 The top 20 Scope 2 of scope 1 + Scope 2 + Scope 2 emitters, emitters, 40% are from Emitters, 45% are from emissions reported in account for 90% of the Healthcare Sector. the Healthcare Sector. Ireland reported emissions 10 Chart 1: Total Scope 1 and Scope 2 emissions by sector 2017 Utilities 10,197,477 10,000,000 Industrials 1,875,272 Materials 1,386,054 Information Technology Information 1,000,000 1,214,201 Healthcare 734,429 Consumer Consumer Staples 691,477 600,000

500,000

400,000

300,000

200,000 97,150 Financials Telecommunications Services 100,000 64,854 Consumer Discretionary Consumer 56,324 50,000 Energy 260

tCO2e 0

Scope 1 & 2 Emissions

Chart 2: Number of organisations reporting their emissions in Ireland by Scope SCOPE 1 SCOPE 2

2017 208 230

2016 180 194

2015 153 168 15% 18% 2014 149 170

2013 105 125

2012 128 153 15% Increase in the 18% increase in the number of companies number of companies 2011 105 116 reporting Scope 1 reporting Scope 2

2010 64 77

Chart 3: Scope 1

Companies that provide emissions on their Irish Operations Scope 2

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 35 40 45 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Consumer Discretionary

Consumer Staples

Financial Services

Healthcare

Industrials

Information Technology

Materials

Other

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 35 40 45 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |

11 CDP Ireland Network initiative Irish business continues to demonstrate leadership

It has been a very interesting 12-month period for the CDP Ireland Network since our 2016 report launch last November. We continue to advance our mission to develop an economic system in Ireland that operates within sustainable environmental boundaries and promotes the development of Ireland as a leader in the low carbon economy. This year we have seen strong growth of 20% in the numbers of Irish companies reporting their Climate Change performance to CDP. Ten companies are now also reporting to at least one other CDP programme; the CDP Water and Forests Programmes. There are also more Irish companies reporting to their customers under the Supply Chain program than those disclosing to investors under the Climate Change program. 32 Irish entities responded to the supply chain program up from 29 in Brian O' Kennedy, CDP Ireland Network 2015, of which 17 responded publicly. We will continue to offer support to this group as they report Supply Chain Event, RDS, 2017. their emissions to CDP and to their clients. We see this as a competitive issue for Irish companies as we compete internationally. Over the coming year we plan to accelerate our work with the Irish investment community to encourage their support in addressing climate change. And we will continue to try to persuade Irish non-responders, who this year achieved an ‘F’ score, to engage with the programme.

Some highlights from 2017 Aims and Objectives { More companies are now reporting. 30 Irish { Emissions Reductions: To drive action companies are now reporting under CDP by companies and cities to reduce Ireland’s Climate Change program, up from greenhouse gas emissions, safeguard 25 last year. water resources and prevent the { Two Irish companies, AIB and Kingspan Group destruction of forests. PLC achieved the highest level of recognition { Engage and inform the debate: To under the programme, an ‘A’ score. Only 114 promote, encourage and support Irish companies worldwide achieved this score. stakeholders to engage with the CDP and { One of our key strategies is to cooperate with other organisations seeking to minimize other like-minded organisations. To this end, climate change impacts. we have continued our close cooperation with Sustainable Nation and supported their { Business Efficiency through Sustainable Leadership Breakfast briefings and carbon management: To increase the Gathering event in November. Irish organisations transparency on environmental performance in order to { Supply Chain Event. We hosted our first CDP build resilience and sustainability. Supply Chain network event. The meeting was addressed by Dexter Galvin, CDP London, with { Factoring climate change risk and very insightful presentations from Raoul Empey, opportunity into investment decisions: Sustineo, Leigh Holloway, Eco3 and Gavin To make environmental performance central Whitaker from Clearstream Solutions. to investment and business decisions. Gavin Whitaker and Ji Yeon Kim, CDP Ireland Network Training Event, DCU, { In terms of Training, we hosted our annual CDP { Knowledge Sharing: To share best Reporter training in May 2017. Ji Yeon Kim from 2017. practice in carbon management and CDP London and Gavin Whitaker delivered a very policy from both Irish and international informative session for both experienced, as well organisations. as new responders. { Framework for Emissions Reporting: { We have also been working with the To provide a common and consistent Sustainability Skillnet to roll out Non-Financial framework for Irish companies to measure Reporting and Supply Chain Sustainability training and report their GHG emissions. over the past year. { Developing Ireland’s Competitive { We now have 83 members on our LinkedIn group Assist in promoting the image 20%This year we have seen strong Advantage: ‘CDP Ireland Network’ and a growing Twitter of Ireland as a sustainable place to do growth of 20% in the numbers of Irish following @CDPIrelandnet companies reporting their Climate business and to help our companies to Change performance to CDP { We have updated our Website achieve a long term competitive advantage CDPIrelandNetwork.net where you will find this from their initiatives. report. 12 The launch of our 2016 report was a huge success and attracted significant media attention.

Kingspan retains position on climate denies 'A List' snubbing influential

Cavan-based Kingspan has been climate change survey 16% jump named on the climate ‘A List’ by Ryanair has been named on a list CDP, an international non-profit of the world’s largest companies in carbon organisation that measures the emissions environmental impact of thousands that ignored a major survey, carried of companies around the world. out on behalf of more than 800 reporting among This is the third year in a row that international investors, relating the building materials company has to how companies are managing companies featured on the list. risks posed by climate change. based in Ireland Only one other Irish company – AIB – made the list of 112 companies, However, a spokesman for the carrier said it has no record of The number of companies in which includes Unilever, Microsoft, Ireland reporting on their carbon and Toyota. being contacted regarding the emissions jumped by 16% report, published this week by the to more than 200 last year, Thousands of companies are influential investor-backed lobby according to latest data. independently assessed against group CDP, formerly known as CDP’s scoring methodology in a Carbon Disclosure Project. The report from international not- report compiled at the request of for-profit CDP Ireland (formerly over 800 investors who represent The report by CDP, which collects the Carbon Disclosure Project) $100 trillion of assets under data for global investors with shows that Kingspan, Accenture management. more than $100 trillion (€92 trillion) and Kerry Group were the top Only 5pc of the companies who of assets under management, three performing Irish companies submit information are awarded including BlackRock, Goldman – in a top ten list that include position on the Climate A List, Sachs Asset Management and Irish Daily Mirror, some of Ireland’s best known in recognition of their actions to Aviva Investors, named Kingspan businesses. reduce emissions and mitigate November 2016 Irish Times, on its so-called Climate A List climate change in the past November 2016 of companies “who lead climate CDP CEO Paul Simpson said the |reporting year. change mitigation”. Others on this "baseline-setting report uses data ELLIE DONNELLY list include Microsoft, Citigroup

related to companies' activities Irish Independent and Unilever. pre-Paris Agreement; it shows November 2017 that while many are already on JOE BRENNAN, the right path, there is still a large Irish Times, gap to close. November 2016 RTE, November 2016 Steering Committee 2017 We would like to express our appreciation to SEAI and EPA for their continued financial support and participation in the Network. And also to Kingspan Group Plc and Smurfit Kappa Plc for their support in publishing and launching this report. Last year we welcomed three new CDP Ireland Steering Committee members from Smurfit Kappa Plc, CRH plc and ILIM. Our Chairperson for 2017 is Emma Jane Joyce, NTMA and our Vice Chairperson is Caroline Pope, KPMG. Thanks again to all our committee for their dedication and input.

Emma Jane Joyce Caroline Pope Shane Colgan Joseph Curtin Lorcan Dowd Eoin Fahy NTMA KPMG EPA IIEA Kingspan Group KBIGI Plc

Gillian Carson- Paul Harris Majella Kelleher Conor Linehan Stephen Nolan Mark Prendergast Callan SEAI William Fry Sustainable Nation CRH PLC Smurfit Kappa Plc Executive Support

Sandra Rockett John Barcroft Gavin Whitaker Irish Life Investment DCC Plc Brian O’Kennedy Managers Clearstream Clearstream Solutions Solutions

13 CDP Ireland 2017

30 Irish companies reporting to CDP in 2017 is an increase of Ireland results by CDP scoring levels

99% 35% 19% 6%

Disclosure Awareness Management Leadership

30 IRISH COMPANIES WHO RESPONDED IN 2017 IRELAND’S A LIST COMPANIES

27 IRISH COMPANIES WHO RECEIVED AN F FOR NON DISCLOSURE

Companies reporting to CDP with operations in Ireland 14 220 CDP Ireland 2017

30 Irish companies reporting to CDP in 2017 is an increase of Ireland results by CDP scoring levels

99% 35% 19% 6%

Disclosure Awareness Management Leadership

30 IRISH COMPANIES WHO RESPONDED IN 2017 IRELAND’S A LIST COMPANIES

27 IRISH COMPANIES WHO RECEIVED AN F FOR NON DISCLOSURE

Companies reporting to CDP with operations in Ireland 220 15 Investor perspective Sandra Rockett, Irish Life Investment Managers

Irish Life Investment Managers (ILIM) is a global asset management business delivering investment solutions to clients globally – in Ireland, across the EU and more recently into the US and Canada. Consequently, we have a breadth of perspective as to how different investors and regulatory regimes are responding to the issue of Climate Change.

Can investors fight climate change? on various key issues including Climate Change. In this article, we focus on a new dynamic emerging We actively target companies which have a high across the Asset Management industry which has exposure to Climate Change as a key business risk the potential to not only accelerate change but for the future and which lag their peer group in terms The CDP is rapidly also influence and potentially dictate changes in of progress on addressing the risks posed by Climate becoming the industry companies more than it has ever been felt before Change to their business and their disclosure of standard for disclosure – a trend towards a more integrated approach to Climate Change metrics. and measurement of considering Environmental factors in their decision 2. Divestment. Certain clients wish to divest from a company’s progress making alongside other Social and Governance and performance on or exclude companies that lack industry norms or factors (“ESG investing”). score high on carbon emission criteria. We enable key Climate related Companies are ultimately beholden to their issues. them to implement their views by either tailoring a shareholders and these Shareholders are beginning strategy to exclude certain companies which fail to to change their approach to investing. They meet certain criteria or by providing access to specific are beginning to exert greater influence over the ex fossil fuel/low carbon investment strategies which companies in which they invest and require changes are rapidly being developed in the market place. which they believe are ultimately in their long term interests. 3. Integration. Other clients prefer to include Climate change as a financial consideration for low-carbon/climate change into their investment investors has become a key focus given the potential strategies as factor to be considered alongside other long term impact this could have on a company’s financial characteristics. In this case, rather than performance and risk profile and is unlikely to lose its exclude certain sectors or companies which perform prominence any time soon. poorly relative to climate change criteria, they seek The CDP is rapidly becoming the industry standard to overweight their investment in companies which for disclosure and measurement of a company’s demonstrate strong performance to these same progress and performance on key Climate related criteria. issues and will increasingly come into focus as a How is the Industry Responding? means of assessing and comparing companies for The Asset Management industry has responded to investment. this growing trend in many ways; Climate Change as a key focus for • Increased research into the potential impact of Investors climate change on future investment returns. Over the course of the last 18 months, the largest • New and innovative options for investors being investors globally – asset managers and global launched by both index providers and active pension funds - have all issued public statements managers. setting out their position on Climate Change citing Transparency and Disclosure it as a key priority and investment theme within at the Forefront their portfolios. It is estimated that Climate change Underpinning this strategic shift in inventors focus is currently sits as possibly one of the top three such disclosure. One of the common challenges cited by themes alongside Executive Remuneration and investors is the lack of available information calculated Gender Diversity. on a consistent basis to enable decision making and How Investors are Responding relative comparisons and ultimately the development (ILIMs Perspective) of new investment strategies which reflect investor Investors have a breadth of options available to preferences. incorporate and tackle Climate Change within their portfolios and our clients look to us as their Asset CDP addresses challenges faced by investors directly Manager to help them implement their views. by providing a consistent, global reporting standard for climate related disclosures in much the same way as other financial metrics have established 1. Active ownership: In direct response to our themselves. clients, we have moved to a Voting and Engagement policy which focusses on advocating for disclosure

16 Investor perspective Steve Waygood, Aviva Investors

For an insurance giant like Aviva, failing to successfully halt climate change is unthinkable. “Our sector has an existential issue with warming above 4 degrees,” says Steve Waygood, Aviva Investors’ chief sustainability officer. “It simply won’t be possible to price insurance products at a premium we can sustain, and which economies can afford.

“That’s a profound macroeconomic problem, given Waygood also acknowledges that climate disclosure the role of insurance in pricing and redistributing risk.” poses challenges for financial services groups such as his, noting that it is still not yet clear what the On the asset side of its balance sheet, meanwhile, most appropriate metrics are for investors to disclose As investors, the TCFD Aviva faces challenges relating to the climate risks to against. “We haven’t got it cracked – I’m not happy has given us a very which its investments are exposed. He cites a study with the state of the art,” he says, noting that simply powerful mandate, it carried out by Aviva with the Economist 1, which found disclosing the carbon footprinting of a portfolio has shifted the burden that 6 degrees of warming would wipe US$43 trillion “doesn’t cut it”, as emissions can rise and fall for of proof to companies off the value of global capital markets. “The entire reasons not linked to climate risk management. to explain why climate value of the MSCI World equity index is only US$38 risk isn’t an issue. trillion – that’s obviously a clear and present danger.” “We need a reference scenario for fund The new norm is that management,” he suggests, that sketches out what companies should be For that reason, Aviva has been a prominent voice in a transition pathway to 2 degrees looks like, allowing considering climate the climate change debate: disclosing on climate risk investors to disclose how close their portfolio is to risk at the board level. since 2004, incorporating climate risk into strategy matching it. It’s created a new and governance, engaging with investee companies, concept of climate risk and playing an important role on the Task Force for Aviva will continue to encourage the companies governance. Climate-Related Financial Disclosures (TCFD), on in which it invests to use the TCFD guidance, but which Waygood sits. Waygood adds that more system-wide pressure needs to be brought to bear. “As investors, the TCFD has given us a very powerful mandate,” he says. “It has shifted the burden of “It’s as important that we use our influence in the proof to companies to explain why climate risk isn’t political process to encourage those in Brussels, an issue.” And, for those that recognize climate Westminster or Washington to use the TCFD in exposures, the “new norm is that companies should important international processes such as the be considering climate risk at the board level. It’s International Accounting Standards Board, and the created a new concept of climate risk governance.” International Organization of Securities Commissions (IOSCO),” he says. The TCFD recommends that companies disclose how they are likely to perform against various “We need to encourage the system to use this climate scenarios – which Waygood says will provide guidance and make it more than voluntary,” he says, additional insight, but which are unlikely to tell the adding that he would also like to see the proxy voting whole story. “A good scenario, that has been properly firms and credit rating agencies explicitly referencing considered by the board, that looks at the downside TCFD data, as well as the regulations that govern the risk is evidence of good quality management.” financial sector – Basel III for banks and Solvency II for insurers – take climate risk into account. But he notes there is, as yet, no standardized way for each sector to produce scenarios, nor sector “We have a role as investors, in terms of influencing reference scenarios against which a company’s the companies we own, as well as in terms of scenario reporting might be compared – although advocating how the financial system evolves,” he suggests there may be a role for the TFCD to he concludes. produce these benchmarks.

1 https://www.eiuperspectives.economist.com/ sites/default/files/The%20cost%20of%20 inaction_0.pdf 17 Reimagining Disclosure Tony Rooke, Director of Technical Reporting

Our 2017-2020 Tipping Point strategy 1 is to build on the momentum of the Paris Agreement and fulfil our mission to mainstream environmental stewardship and action into the economic system. We have been the catalyst for global disclosure over the past 15 years. We want to continue to drive the future of meaningful disclosure to help companies and investors better understand environmental risk and opportunities. This will accelerate the transition to a more sustainable economy and future.

We set up our Reimagining Disclosure initiative to 2. Integration of the recommendations of the work in consultation with you and our other key Task-Force on Climate-Related Financial stakeholders to evolve our corporate questionnaires. Disclosures (TCFD). These recommendations Our goals of this initiative are to: align closely with existing CDP disclosures and will be incorporated principally into our climate Provide investors and stakeholders with increased change questionnaire, with water- and forest- relevant information now and into the future; and specific TCFD recommendations also included in these respective questionnaires. Optimise the reporting burden for companies. 3. Continued evolution into more forward- To deliver this, we have focused development of our looking metrics and reporting harmonisation. questionnaires on the high impact areas through the We are building upon forward-looking metrics following three pillars. in carbon pricing and science based targets to include reporting on scenario analyses, carbon 1. Introduction of sector-specific price corridors, and transition pathway planning questionnaires. We have listened to the as key indicators of where companies are and the feedback from both companies and investors that progress they are making. we need to focus on sector-specific disclosures.

What’s new for 2018? We are launching 18 new sector-specific questionnaires across our three themes in 2018, with all other sectors answering the “general” questionnaire for the relevant theme(s):

Cluster Climate change Forests Water

All other companies All other companies All other companies General without sector specific without sector specific without sector specific questionnaires questionnaires questionnaires

Oil & gas Oil & gas Energy Coal Electric utilities Electric utilities

Vehicle manufacturers Transport Service providers

Cement Steel Metals & mining Materials Metals & mining Chemicals Chemicals

Food, beverage & tobacco Food, beverage & 1 https://b8f65cb373b1b7b15feb- Agriculture Paper & forestry c70d8ead6ced550b4d987d7c03fcdd1d. Agricultural commodities tobacco ssl.cf3.rackcdn.com/cms/reports/ documents/000/002/292/original/CDP-Strategic- Paper & forestry Plan.pdf?1501603727 18 How it all fits together:

2 Aligning

1 Paris Agreement 3 Reporting CDP + TCFD Securing

Sustainable Development Goals Organization taking action Below 2°C world

For climate change, in addition to the inclusion of changed following consultation (e.g. move from sector-specific metrics, the majority of changes supply chain to value chain), and to align with TCFD introduced align both structure and flow with the recommendations. recommendations of the TCFD. This means an increased focus on financial impacts, and the For forests, the main changes have been to include inclusion of scenario analysis and transition planning. disclosures from our 2016-17 supply chain pilot, This is designed to help companies in preparing to consolidation of questions, and better alignment with include TCFD recommended disclosures in their climate change and water questionnaires. We have mainstream reporting and accounts, and to provide a also introduced differentiation between sustainable place for companies to reference from their reports in forestry management for paper & forestry companies, providing more detail. land use change, and differentiation between afforestation, reforestation and restoration projects. For water, the structure and flow has been retained to maintain alignment with the CEO water mandate. Some questions have had wording and options

Outreach this year

We have reached over 2000 companies and other stakeholders on our reimagining plans this year through webinars, conferences, meetings, industry groups, and two consultations this year:

1. Over 170 organisations responded to our first consultation on sector-specific disclosures and evolution;

2. We published 6 months earlier than usual our draft sector-specific questionnaires for feedback from organisations in our second consultation.

The feedback was processed to look for common responses, agreement/disagreement between stakeholders, and then assessed to see if the feedback would help add to achieving our goals for reimagining disclosure. The final questionnaires will be published in December as a result of this feedback and our own development work.

The consultation is now closed but the results, supporting documents and draft sector-specific questionnaires can still be viewed at https://www.cdp.net/en/companies/consultation

19 Investor signatories and members

1. Investor signatories by CDP’s investor program - backed in 2017 by 803 location institutional investor signatories representing in excess of US$100 trillion in assets - works with investors to understand their data and analysis requirements and offers tools and solutions to help them.

Investor members Our global data from companies and cities in ACTIAM response to climate change, water insecurity and Aegon Allianz Global Investors deforestation and our award-winning investor ATP Group research series is driving investor decision-making. Aviva Investors Our analysis helps investors understand the risks Aviva plc they run in their portfolios. Our insights shape AXA Group engagement and add value not only in financial Bank of America Bendigo and Adelaide Bank Europe returns but by building a more sustainable future. BlackRock - 366 = 46% Boston Common Asset Management LLC North America For more information about the CDP investor BP Investment Management Limited - 224 = 28% program, including the benefits of becoming a British Columbia Investment Management Corporation California Public Employees’ Retirement System Latin America & signatory or member please visit: California State Teachers’ Retirement System Caribbean http://bit.ly/2vvsrhp Calvert Investment Management, Inc - 70 = 9% Capricorn Investment Group Catholic Super Asia To view the full list of investor signatories - 67 = 8% CCLA Investment Management Ltd please visit: http://bit.ly/2uW3336 ClearBridge Investments Australia and NZ Environment Agency Pension fund - 65 = 8% Ethos Foundation Etica SGR Africa Eurizon Capital SGR S.p.A. - 11 = 1% Fundação Chesf de Assistência e Seguridade Social Fundação de Assistência e Previdência Social do BNDES FUNDAÇÃO ITAUBANCO Generation Investment Management 2. Investor signatories by 3. Investor signatories over time Goldman Sachs Asset Management type Henderson Global Investors Hermes Fund Managers HSBC Global Asset Management Number of signatories 100 Instituto Infraero de Seguridade Social 100 KLP 95 Legal and General Investment Management Assets under management 92 Legg Mason, Inc. US$trillion London Pensions Fund Authority 87 Morgan Stanley

827 National Australia Bank 822 78 803 Neuberger Berman

767 New York State Common Retirement Fund Nordea Investment Management

71 722 Norges Bank Investment Management 64 ÖKOWORLD LUX S.A. 655 Overlook Investments Limited 55 PFA Pension 57 PREVI Caixa de Previdência dos Funcionários do Banco do Brasil

551 Rathbone Greenbank Investments

Asset Managers 534 RBC Global Asset Management - 355 = 44% 41 Real Grandeza Fundação de Previdência e Assistência Social 475 Asset Owners Robeco - 253 = 32% RobecoSAM AG Rockefeller Asset Management 31 385 Banks Sampension KP Livsforsikring A/S - 144 = 18% Schroders 315 Skandinaviska Enskilda Banken AB Insurance 21 Sompo Holdings, Inc - 38 = 5% Sustainable Insight Capital Management 225 Others 10 TIAA - 13 = 2% Terra Alpha Investments LLC 4.5 155 The Sustainability Group The Wellcome Trust 95 UBS 35 University of California University of Toronto Asset Management Corporation (UTAM) Whitley Asset Management 20 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 NR : No Response AQ : Answered Questionaire Appendix I DP : Decline to Participate QF : Questionnaire Forthcoming Ireland responding companies 5 : Information not requested F : Failure to respond

Company 2015 Response Status 2013 Response Status 2012 Response Status 2011 Response Status 2014 Response Status 2017 Response Status 2016 Response Status Ireland Top 30 - Answered Questionnaire

Other Responding Companies - Answered Questionnaire

Ireland Top 30 - Unanswered Questionaire

Hostelworld Group PLC

21 NR : No Response AQ : Answered Questionnaire Appendix I DP : Decline to Participate QF : Questionnaire Forthcoming Ireland responding companies 5 : Information not requested F : Failure to respond

Company 2015 Response Status 2013 Response Status 2012 Response Status 2011 Response Status 2017 Response Status 2016 Response Status 2014 Response Status Ireland Top 30 - Unanswered Questionnaire

Paddy Power Betfair

Other Responding Companies - Unanswered Questionnaire Actavis PLC

Covidien Ltd

Appendix II Global responding companies with operations in Ireland

Company Country Sector

Abbott Laboratories USA Health Care AbbVie Inc USA Health Care Abercrombie & Fitch Co. USA Consumer Discretionary Allergan plc USA Health Care Alliance Data Systems USA Information Technology plc Ireland Financials Alps Electric Co., Ltd. Japan Information Technology Amdocs Ltd Guernsey Information Technology Amgen, Inc. USA Health Care Amlin United Kingdom Financials Analog Devices, Inc. USA Information Technology AptarGroup USA Materials ARM Holdings United Kingdom Information Technology AG Switzerland Consumer Staples Asics Corporation Japan Consumer Discretionary

22 Appendix II Global responding companies with operations in Ireland

Company Country Sector

Assa Abloy Sweden Industrials Astellas Pharma Inc. Japan Health Care Atos SE France Information Technology Aviva plc United Kingdom Financials AXA Group France Financials Axel Springer SE Germany Consumer Discretionary United Kingdom Industrials Ball Corporation USA Materials Bank of America USA Financials Bank of Ireland Ireland Financials Bank of Nova Scotia (Scotiabank) Canada Financials Baxter International Inc. USA Health Care BBA Aviation United Kingdom Industrials Bemis Company USA Materials Biogen Inc. USA Health Care BlackBerry Limited Canada Information Technology BlackRock USA Financials Boliden Group Sweden Materials BorgWarner USA Consumer Discretionary Boston Scientific Corporation USA Health Care Brammer Plc United Kingdom Industrials Bristol-Myers Squibb USA Health Care Britvic United Kingdom Consumer Staples BT Group United Kingdom Telecommunication Services Bunzl plc United Kingdom Industrials C&C GROUP PLC Ireland Consumer Staples CA Technologies USA Information Technology CAE Inc. Canada Industrials Cap Gemini France Information Technology Cargill USA Consumer Staples Cargotec Corporation Finland Industrials Celestica Inc. Canada Information Technology Centrica United Kingdom Utilities Cloetta AB Sweden Consumer Staples Close Brothers Group United Kingdom Financials Cobham United Kingdom Industrials Coca-Cola HBC AG Switzerland Consumer Staples ComfortDelGro Corporation Limited Singapore Industrials CommScope, Inc. USA Information Technology Computer Sciences Corporation (CSC) USA Information Technology Daikin Industries, Ltd. Japan Industrials Danone France Consumer Staples Danske Bank A/S Denmark Financials

23 NR : No Response AQ : Answered Questionnaire DP : Decline to Participate QF : Questionnaire Forthcoming 5 : Information not requested F : Failure to respond

Company Country Sector

DCC PLC Ireland Industrials Debenhams United Kingdom Consumer Discretionary Deere & Company USA Industrials Dentsu Aegis Network United Kingdom Consumer Discretionary Deutsche Bank AG Germany Financials Deutsche Börse AG Germany Financials Diageo Plc United Kingdom Consumer Staples Diasorin SpA Italy Health Care Dixons Carphone United Kingdom Consumer Discretionary Domino’s Pizza Group plc United Kingdom Consumer Discretionary eBay Inc. USA Information Technology Ecocem Ireland Materials Eli Lilly & Co. USA Health Care Emerson Electric Co. USA Industrials Enterprise Holdings USA Industrials Ericsson Sweden Information Technology ESB Group Ireland Utilities Expeditors International of Washington USA Industrials FERROVIAL Spain Industrials Flextronics International USA Information Technology Fresenius Medical Care AG & Co. KGaA Germany Health Care G4S Plc United Kingdom Industrials Gas Natural SDG SA Spain Utilities General Electric Company USA Industrials Glanbia PLC Ireland Consumer Staples GlaxoSmithKline United Kingdom Health Care Graphic Packaging USA Consumer Discretionary Great-West Lifeco Inc. Canada Financials Greencore Group PLC Ireland Consumer Staples GRIFOLS Spain Health Care Hammerson United Kingdom Financials Hays United Kingdom Industrials Heineken NV Netherlands Consumer Staples Hertz Global Holdings USA Industrials Hill & Smith Holdings United Kingdom Materials Hiscox United Kingdom Financials Humanscale Corporation USA Industrials IHS Markit Ltd. United Kingdom Information Technology IKEA Sweden Consumer Discretionary Illinois Tool Works, Inc. USA Industrials Imperial Brands United Kingdom Consumer Staples Indorama Ventures PCL Thailand Materials Intel Corporation USA Information Technology

24 Appendix II Global responding companies with operations in Ireland

Company Country Sector

Inter Pipeline Ltd. Canada Energy International Consolidated Airlines Group, S.A. Spain Industrials Interserve Plc United Kingdom Industrials Intesa Sanpaolo S.p.A Italy Financials Invesco Ltd USA Financials Ipsen France Health Care ISS Denmark Industrials J Sainsbury Plc United Kingdom Consumer Staples Jabil Circuit, Inc. USA Information Technology Jardine Lloyd Thompson Group Plc (JLT) United Kingdom Financials JBS S/A Brazil Consumer Staples JD Sports Fashion United Kingdom Consumer Discretionary Johnson & Johnson USA Health Care JPMorgan Chase & Co. USA Financials Just Eat United Kingdom Information Technology KBC Group Belgium Financials Kellogg Company USA Consumer Staples Kennedy Wilson Europe Real Estate United Kingdom Financials Kering France Consumer Discretionary Kerry Group PLC Ireland Consumer Staples Kingspan Group PLC Ireland Industrials Kubota Corporation Japan Industrials Kuehne + Nagel International AG Switzerland Industrials La Poste France Industrials Lexmark International, Inc. USA Information Technology Liberty Global plc United Kingdom Consumer Discretionary Macquarie Group Australia Financials Mainstream Renewable Power Ireland Utilities Marine Harvest Group Norway Consumer Staples Marks and Spencer Group plc United Kingdom Consumer Discretionary Marsh & McLennan Companies, Inc. USA Financials MasterCard Incorporated USA Information Technology McKesson Corporation USA Health Care Medtronic PLC Ireland Health Care Merck & Co., Inc. USA Health Care Merck KGaA Germany Health Care Mexichem SAB de CV Mexico Materials Micro Focus International United Kingdom Information Technology Mitsubishi Corporation Japan Industrials Mitsui O.S.K. Lines Ltd Japan Industrials Molex Incorporated USA Information Technology Molson Coors Brewing Company USA Consumer Staples N Brown Group Plc United Kingdom Consumer Discretionary

25 NR : No Response AQ : Answered Questionnaire DP : Decline to Participate QF : Questionnaire Forthcoming 5 : Information not requested F : Failure to respond

Company Country Sector

National Bank of Canada Canada Financials Neopost France Information Technology News Corp USA Consumer Discretionary Nippon Express Co., Ltd. Japan Industrials Novartis Switzerland Health Care Old Mutual Group United Kingdom Financials PAREXEL USA Health Care PepsiCo, Inc. USA Consumer Staples Pernod Ricard France Consumer Staples Pfizer Inc. USA Health Care Power Corporation of Canada Canada Financials Power Financial Corporation Canada Financials Procter & Gamble Company USA Consumer Staples Provident Financial plc United Kingdom Financials Prudential PLC United Kingdom Financials QUALCOMM Inc. USA Information Technology Quintiles Transnational Holdings Inc USA Health Care Rabobank Group Netherlands Financials Robert Walters United Kingdom Industrials Roche Holding AG Switzerland Health Care Royal BAM Group nv Netherlands Industrials Royal Bank of Scotland Group United Kingdom Financials RPS Group Plc United Kingdom Industrials RSA Insurance Group United Kingdom Financials Sage Group United Kingdom Information Technology salesforce.com USA Information Technology Schibsted ASA Norway Consumer Discretionary SDL Plc United Kingdom Information Technology Securitas AB Sweden Industrials Sherwin-Williams Company USA Materials Shire Ireland Health Care Siemens AG Germany Industrials SIG United Kingdom Industrials Skandinaviska Enskilda Banken AB (SEB AB) Sweden Financials Smurfit Kappa Group PLC Ireland Materials SNC-Lavalin Group Inc. Canada Industrials Societe Generale France Financials Spirax-Sarco Engineering United Kingdom Industrials SSE United Kingdom Utilities Standard Life United Kingdom Financials Sthree Plc United Kingdom Industrials Stryker Corporation USA Health Care Sumitomo Mitsui Financial Group Japan Financials

26 27 Wyndham Worldwide Corporation WPP Group Wood Group plc Wincanton Whitbread Vodafone Group VMware, Inc Visa Roadshow Village VF Corporation Vestas SystemsA/S Wind Verizon CommunicationsInc. Veritas Technologies LLC Verisk AnalyticsInc Vedanta Resources PLC United CoRUSALPLC Unilever plc UDG Healthcare PLC UCB SA Twenty-First CenturyFox TJX Companies,Inc. THK Co.,Ltd. The Coca-ColaCompany Teva PharmaceuticalIndustriesLtd Tesco Ted BakerPlc Takeda PharmaceuticalCompanyLimited Symantec Corporation SuperGroup Sun LifeFinancialInc. Zurich InsuranceGroup Zimmer BiometHoldings,Inc. Xylem Inc Xilinx Inc Global responding companieswithoperationsinIreland Appendix II Company Russia United Kingdom Ireland Belgium USA USA Japan USA Israel United Kingdom United Kingdom Japan USA United Kingdom Canada Switzerland USA USA USA USA United Kingdom United Kingdom United Kingdom United Kingdom United Kingdom USA USA Australia USA Denmark USA USA USA United Kingdom Country Materials Consumer Staples Health Care Health Care Consumer Discretionary Consumer Discretionary Industrials Consumer Staples Health Care Consumer Staples Consumer Discretionary Health Care Information Technology Consumer Discretionary Financials Financials Health Care Industrials Information Technology Consumer Discretionary Consumer Discretionary Energy Industrials Consumer Discretionary Telecommunication Services Information Technology Information Technology Consumer Discretionary Consumer Discretionary Industrials Telecommunication Services Information Technology Industrials Materials Sector CDP 2017 scoring partners

CDP works with a number of partners to deliver the and the responsibilities are shared between multiple scores for all our responding companies. partners. These partners are listed below along with the geographical regions in which they provide the In 2017, CDP worked with RepRisk, a business scoring. All scoring partners complete training to ensure intelligence provider specializing in ESG risks the methodology and guidance are applied correctly, (www.reprisk.com), who provided additional risk and the scoring results go through a comprehensive research and data into the proposed A-List companies quality assurance process before being published. In to assess whether there were severe reputational issues some regions there is more than one scoring partner that could put their leadership status into question.

Global climate change scoring partner Global water and forest scoring partner

Japan France Japan, Latin America, Turkey

Japan, Korea Brazil Korea

Japan Japan Iberia (Spain & Portugal)

Japan Japan Japan

All regions

28 DISCLOSURE INSIGHT ACTION

CDP Contacts Clearstream Solutions Contacts Sue Howells Co-Chief Operating Officer Brian O’Kennedy Managing Director Daniel Turner Head of Disclosure Gavin Whitaker Consulting Director James Hulse Head of Investor Initiatives CDP Ireland Network, c/o Clearstream Solutions Antigone Theodorou DCU Alpha Director, Global operations Old Finglas Road Glasnevin Dublin 11 CDP Worldwide Ireland Level 3 71 Queen Victoria Street Tel: +353 (0)1 2973390 London EC4V 4AY www.clearstreamsolutions.ie United Kingdom [email protected]

Tel: +44 (0)20 3818 3900 www.cdp.net [email protected]

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